How can Pepsi target different demographic generations in the US?
Depression Generation
Depression Generation refers to American individuals born between 1930 and 1945. Currently, these individuals are aged between 68 and 83 years. They passed through their childhood stage during the World War II and the Great Depression. According to Walker (2003), members of this generation pay attention to morals and ethics. In fact, they were economically productive during America’s emergence as an economical and political superpower.
According to Walker (2003), conformity is the main characteristic associated with this generation. In fact, they rely on tested and true ways of living. They also tend to be careful in choosing new products in the market, especially if an item tends to bring change. Therefore, for Pepsi to understand the behaviour and needs of this group, it should use themes that emphasize on traditional values such as hard work, conformity, responsibility, discipline and conservatism.
The group is quite romantic and prefers soft music. Therefore, Pepsi must ensure that its products are marketed in a manner that emphasizes on these characteristics. For example, product price, tastes and brand must look “American”. In addition, the products must emphasize on retaining the American tradition in soft drink industry. When marketing the products using mass media, the company must use themes that seek to restore or maintain patriotism and American traditions.
Marketing to Baby Boomer Generation
Baby Boomers generation has a number of other names, including Baboo, Sandwich, Love and ‘Me’ generation. It includes all individuals born between 1946 and 1964. Currently, they are aged between 49 and 67 years (Himmel, 2008). They were born between the end of the World War II (late 1940s) and 1964. At this time, the U.S. and Europe were experiencing dramatic increase in birth rates, thus the name “Baby Boomers”.
These individuals do not like bureaucracy. In fact, they want things done instantly. They also focus on product value. They also tend to consider such factors as health and aging. Generally, they do not like the idea of growing old. Therefore, they will look for products that conserve their health or help them delay or escape aging.
If Pepsi wants to target this group of individuals, it must consider these characteristics. For instance, it must ensure that its products assure the individuals a good health. Majority of these individuals are aware that sugary drinks and junk products have a negative impact on their health. Therefore, they are increasingly avoiding such products. Pepsi must market its sugarless products to this particular group by assuring individuals that their health will be maintained.
Marketing to Gen X
Generation X refers to the group of individuals born between 1965 and 1977 and are currently aged between 37 and 48 years. By the time they reached adulthood age, the American economy was facing several problems (Himmel, 2008). They are likely to be self-employed and less successful in non-self employment. One of their major characteristics is that they embrace free agency rather than company loyalty. In addition, they have high regards for their families because they are taking greater responsibilities to raise themselves and their families through hard times.
To target this group of individuals, Pepsi must develop better product pricing strategies and emphasize on product quality. The company must ensure that its product prices do not keep fluctuating. In addition, prices for comparable or alternative products in the market should not exceed Pepsi’s prices by a large margin.
Marketing to Gen Y
Generation Y consist of people born between 1977 and 1994, now aged between 19 and 37 years. They grew up at a time when technology was rapidly changing, globalization was evident and development of new cultures was rapidly taking place. They readily accept change and embrace new ideas, technologies and products. They are self-reliant and able to make independent decisions (Wellner, 2003). They like customized products, entertainment, new tastes, socialization, speed and integrity.
To market Pepsi products to this generation, it is necessary to ensure that the products come in a variety of forms, shapes, tastes, colours, qualities and prices. The marketer must ensure that promotion projects include entertainment and pay attention to integrity. In addition, they must fit into the technological aspects of modern lifestyles.
Taking advantage of demographic information in marketing
Knowledge of demographics in a given market is important in making the appropriate choice of strategies to attract certain groups of people. In addition, it allows the marketer to offer products that appeal to the unique needs and sets of customer behaviour. In the United States, each generation has a unique history and lifestyle characteristics. Similarly, each generation is characterized by uniqueness in terms of value, experiences and expectations. The uniqueness of every generation has a significant effect on their buying behaviours. Marketers always consider these unique characteristics as an important aspect of reaching out to the multi-generational population of consumers (Walker, 2003).
Marketers attempt to understand these differences and the impact they have on consumer buying behaviour. Multigenerational marketing is an area of study and business practice that enables marketers to appeal to the unique buying behaviours and needs of individuals in various generational groups. In this case, a generation is a group of individuals born and living around the same period in a given country.
References
Himmel, B. (2008). Different Strokes for Different Generations. Rental Product News, 30(7), 42-46.
Walker, E. (2003). The Value of Generational Marketing. National Underwriter, 107(29), 24.
Wellner, A. S. (2003). The Next 25 Years. American Demographics, 25(1), D26-D29.